The space that Wal-Mart was eyeing will be taken by a ShopRite supermarket instead.

In a statement, Wal-Mart executives said they will continue to pursue a store in New York City:

"We remain committed to bringing new economic development and shopping options to New York City, especially in the neighborhoods that need them most," Steven Restivo, Wal-Mart's senior director of community affairs, said in the statement.